Asked by Jessie Schneider on Jun 14, 2024
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Both equity and debt investments are reported as current assets on the statement of financial position at fair value.
Current Assets
Assets likely to be converted into cash, sold, or consumed within one year or the business cycle, whichever is longer.
Statement Of Financial Position
A financial document that shows the assets, liabilities, and equity of a company at a particular point in time, also known as a balance sheet.
Fair Value
The price that would be received for selling an asset or paid to transfer a liability in an orderly transaction between market participants.
- Understand the standards and logic behind categorizing investments into short-term or long-term.
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Learning Objectives
- Understand the standards and logic behind categorizing investments into short-term or long-term.
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